The public sale of TRON CEO Justin Sun’s new stablecoin-fueling crypto JUST (JST) has sold out in less than five minutes. This sale was the first on Poloniex’s new IEO platform, Launchbase.
🚀$JST tokens sold out in 4 minutes 26 seconds! 🚀 pic.twitter.com/FvjwWjACbI
— Poloniex Exchange (@Poloniex) May 5, 2020
The fine print specifies that that 396 million JST tokens were sold for about $0.00202 each, or 0.124 TRX apiece. This makes for a raise of about $800,000, but that is a fraction of the total amount raised during the private token sale: over $3 million was raised during the seed funding round to private investors.
The JST is one part of a two-part package which forms the TRON ecosystem’s new stablecoin system. The other is USDJ, a USD-mirrored stablecoin.
This system operates similarly to the DAO system on the Ethereum blockchain, whose stablecoin DAI/SAI is backed by the MKR token, which is used for voting rights and to lock up ETH in exchange for DAI/SAI through its Collateralized Debt Position (CDP) portal.
Similarly, JST “can be used for paying interest, platform maintenance, participating in governance through voting, and other activities on the JUST platform” through a similar CDP portal.
CryptoGlobe recently reported that some had accused Sun of using the onset of COVID-19 as a marketing ploy. He also recently made headlines for paying an eye-watering $4.5 million for the privilege of joining legendary investor Warren Buffett for lunch, in an effort to convince him of the virtues of blockchain technology. (Spoiler, Buffett was not convinced.)
Sun is an investor in the flagging Poloniex exchange, which has fallen from grace in the last few years from one of the most important to most marginal cryptoasset exchanges.
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